A Nigerian oil company is facing a major enforcement action in Britain after a London court ordered the appointment of receivers over its oil revenues, in a bid to recover a multimillion-dollar debt that has remained unpaid for years.
Justice Butcher of the High Court of England and Wales ruled on February 17 that receivers should take control of oil revenues owed to Eroton Exploration and Production Company Limited, acting on an application brought by fellow Nigerian firm Brightwaters Energy Limited.
The dispute traces back to goods and services Brightwaters supplied to Eroton in Nigeria. In June 2022, a Lagos High Court entered a consent judgment ordering Eroton and Energy Link Infrastructure Ltd to jointly pay $25.15 million. Although $3.5 million was eventually paid, the bulk of the debt went unsettled. By the time the Lagos judgment was registered in England’s King’s Bench Division in November 2025, $16.65 million remained outstanding, with interest climbing at eight percent per year.
To enforce the debt, Brightwaters sought a receivership over revenues Eroton receives under a contract for the export of 32,000 barrels of oil per day from OML 18, an oilfield in which the company holds an interest. The English court was satisfied that the contract was likely governed by English law and provided for arbitration in England, establishing sufficient legal grounds to intervene.
Eroton mounted five objections, none of which held up. It argued that Guaranty Trust Bank already held security over its assets, making any receivership pointless. The court rejected this, finding that Eroton still retained an equity of redemption that could be subject to the order. The company also claimed that Brightwaters’ simultaneous pursuit of winding-up proceedings in Nigeria should bar enforcement in England — a position the judge bluntly dismissed as “unattractive,” noting that Eroton itself had been dragging out those insolvency proceedings. Arguments over insufficient connection to England and procedural objections regarding GTBank’s notification were similarly thrown out.
The court concluded that the outstanding sum was substantial, that conventional enforcement had run into real obstacles, and that identifiable oil revenues would continue to flow to Eroton. Appointing receivers, the judge said, offered a genuine prospect of recovering the debt without trampling on third-party rights. The ruling also reaffirmed that English courts expect compliance with judgments — including those originally handed down abroad but registered in England — and will use available tools to ensure they are enforced.
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